Author Question: Sara's Strawberry Market maximizes its total revenue by selling strawberries for 1.25 a basket. At a ... (Read 110 times)

jace · **on:** Jun 29, 2018

Sara's Strawberry Market maximizes its total revenue by selling strawberries for 1.25 a basket. At a price of 1.25, you predict that ________.

A) the demand for strawberries is inelastic
B) Sara's sells most of the strawberries that she grows
C) the demand for strawberries is elastic
D) the demand for strawberries is unit elastic

Question 2

Economic profit is the difference between total revenue and

A) the normal profit.
B) interest costs of production.
C) opportunity costs of production.
D) the costs of resources bought in markets.